»»Car Rental Taxes Proliferating in the U.S.

As states and municipalities in the U.S. look for revenue to balance their budgets in recessionary times, taxes imposed on renting a car are becoming a way to close budget gaps.

Some figures

There were 114 separate state and local excise taxes for renting or leasing a car in 43 states as of the end of last year.
In 1990, there were only 14 of them, according to the Coalition Against Discriminatory Car Rental Excise Taxes, a group formed to combat the proliferation of the taxes and which tracks them.

Michael McCormick, executive director of the National Business Travel Association, which represents about 4,000 corporate travel managers and suppliers, says taxes can cost a Fortune 100 company $5 million to $10 million a year. […]

Rental-car companies aren’t happy with them either. They don’t want to be tax collectors. Nor do they want to hear disgruntled renters complain about the charges on their bills.
So three years ago, eight rental-car brands and the National Business Travel Association formed the coalition to publicize the taxes, educate consumers about them and lobby against them. (Source)



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